27.1 (1) A proceeding under this Act may be settled only with the approval of the court. 2020, c. 11, Sched. 4, s. 25. Subclass (2) A settlement may be concluded in relation to the common issues affecting a subclass only with the approval of the court. 2020, c. 11, Sched. 4, s. 25. Not binding without court approval (3) A settlement under this section is not binding unless approved by the court. 2020, c. 11, Sched. 4, s. 25. Effect of settlement (4) If a proceeding is certified as a class proceeding, a settlement under this section that is approved by the court binds every member of the class or subclass, as the case may be, who has not opted out of the class proceeding, unless the court orders otherwise. 2020, c. 11, Sched. 4, s. 25. Settlement must be fair and reasonable (5) The court shall not approve a settlement unless it determines that the settlement is fair, reasonable and in the best interests of the class or subclass members, as the case may be. 2020, c. 11, Sched. 4, s. 25. Differences not a bar (6) The court may approve a settlement even if individual class or subclass members, including a representative party, are subject to different settlement terms. 2020, c. 11, Sched. 4, s. 25. Evidentiary requirements (7) On a motion for approval of a settlement, the moving party shall make full and frank disclosure of all materials facts, including, in one or more affidavits filed for use on the motion, the party’s best information respecting the following matters, which the court shall consider in determining whether to approve the settlement: 1.  Evidence as to how the settlement meets the requirements of subsection (5). 2.  Any risks associated with continued litigation. 3.  The range of possible recoveries in the litigation. 4.  The method used for valuation of the settlement. 5.  The total number of class or subclass members, as the case may be. 6.  A plan for allocating and distributing the settlement funds, including any proposal respecting the appointment of an administrator under subsection (14), and the anticipated costs associated with the distribution. 7.  The number of class or subclass members expected to make a claim under the settlement and, of them, the numbers of class or subclass members who are and who are not expected to receive settlement funds. 8.  The number of class or subclass members who have objected or are expected to object to the settlement, and the nature or anticipated nature of the objections. 9.  A plan for giving notice of the settlement to class or subclass members in the event of an order under section 19, and the number of class or subclass members who are expected to obtain the notice. 10.  Any other prescribed information. 2020, c. 11, Sched. 4, s. 25. Notice of settlement hearing (8) The court shall consider whether notice of a hearing of a motion for approval of a settlement should be given under section 19, and whether such notice should include, (a)  a statement of the purpose of the hearing; (b)  the process for objecting to the approval of the settlement; (c)  any other prescribed information; and (d)  any other information the court considers appropriate. 2020, c. 11, Sched. 4, s. 25. Public Guardian and Trustee (9) Notice of a motion for approval of a settlement and other materials filed on the motion, as well as any notice given under subsection (8), shall be served on the Public Guardian and Trustee, if there is a reasonable possibility that the Public Guardian and Trustee is authorized to act on behalf of one or more class or subclass members. 2020, c. 11, Sched. 4, s. 25. Same (10) An entitlement to receive materials under subsection (9) includes an entitlement to make submissions at the hearing of the motion, unless the court orders otherwise. 2020, c. 11, Sched. 4, s. 25. Children’s Lawyer (11) If there is a reasonable possibility that the class or subclass includes minors, the court may direct that, (a)  the notice of motion and other materials filed on the motion be served on the Children’s Lawyer; and (b)  the Children’s Lawyer make any recommendations it may have in connection with the proposed settlement in writing to the court. 2020, c. 11, Sched. 4, s. 25. Notice of settlement approval (12) In approving a settlement, the court shall consider whether notice of the settlement should be given under section 19, and whether such notice should include, (a)  an account of the conduct of the proceeding; (b)  a statement of the result of the proceeding; (c)  a description of any plan for distributing settlement funds; (d)  any other prescribed information; and (e)  any other information the court considers appropriate. 2020, c. 11, Sched. 4, s. 25. Supervisory role of the court (13) The court shall supervise the administration and implementation of the settlement. 2020, c. 11, Sched. 4, s. 25. Court-appointed administrator (14) The court may appoint a person or entity to act as an administrator to administer the distribution of settlement funds. 2020, c. 11, Sched. 4, s. 25. Duty of administrator, other person or entity (15) An administrator appointed by the court or, if no administrator is appointed, the person or entity who administers the distribution of the settlement funds, shall administer the distribution in a competent and diligent manner. 2020, c. 11, Sched. 4, s. 25. Report (16) No later than 60 days after the date on which the settlement funds are fully distributed, including any distribution under section 27.2, the administrator or other person or entity who administered the distribution shall file with the court a report containing their best information respecting the following: 1.  The amount of the settlement funds before distribution. 2.  The total number of class or subclass members. 3.  Information respecting the number of class members identified in each affidavit filed under subsection 5 (3) in the motion for certification. 4.  The number of class members who received notice associated with the distribution, and a description of how notice was given. 5.  The number of class or subclass members who made a claim under the settlement and, of them, the numbers of class or subclass members who did and who did not receive settlement funds. 6.  The amount of the settlement funds distributed to class or subclass members and a description of how the settlement funds were distributed. 7.  The amount and recipients of any distribution under section 27.2, and the amount, if any, that was subject to reversion or otherwise returned to the defendant. 8.  The number of class or subclass members who objected to the settlement and the nature of their objections. 9.  The number of class or subclass members who opted out of the class proceeding. 10.  The smallest and largest amounts distributed to class or subclass members, the average and the median of the amounts distributed to class or subclass members, and any other aggregate data respecting the distribution that the administrator or other person or entity who administered the distribution considers to be relevant. 11.  The administrative costs associated with the distribution of the settlement funds. 12.  The solicitor fees and disbursements. 13.  Any amount paid to the Class Proceedings Fund established under the Law Society Act or to a funder under a third-party funding agreement approved under section 33.1. 14.  Any other information the court requires to be included in the report. 2020, c. 11, Sched. 4, s. 25. Same (17) Once the court is satisfied that the requirements of subsection (16) have been met with respect to a filed report, the court shall make an order approving the report and append the report to the order. 2020, c. 11, Sched. 4, s. 25. Same (18) If the regulations so provide, the administrator or other person or entity who administered the distribution, or such other person or entity as may be prescribed, shall provide, in accordance with the regulations, a copy of the approved report to the person or entity specified by the regulations. 2020, c. 11, Sched. 4, s. 25. Section Amendments with date in force (d/m/y) 2020, c. 11, Sched. 4, s. 25 - 01/10/2020 Distribution on cy-près
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